Borosil (BOROLTD) Q1 24/25 earnings summary

Executive summary

• Q1 FY25 revenue reached ₹216.8 crore, up 23.2% year-over-year, with operating EBITDA before investment income at ₹34.6 crore and PAT at ₹9.3 crore, reflecting strong execution and customer loyalty.

• EBITDA margin improved to 16% from 13.6% year-over-year, and profit before tax rose to ₹12.9 crore.

• INR 150 crores was raised via QIP, with proceeds used for loan repayment and investments in high-quality money market instruments.

• The company is Official Hydration Partner for Team India at the Paris Olympics 2024, enhancing brand visibility.

• Unaudited standalone and consolidated financial results for the quarter ended June 30, 2024, were approved by the Board on August 14, 2024.

Financial highlights

• Revenue from operations for Q1 FY25 was ₹216.8 crore, up 23.2% year-over-year.

• Operating EBITDA before investment income was ₹34.6 crore, up from ₹23.9 crore, and EBITDA margin improved to 16% from 13.6%.

• PAT increased to ₹9.3 crore, up 87.6% year-over-year; PBT rose to ₹12.9 crore.

• Net debt reduced to ₹57.8 crore at Q1 FY25 end, down from ₹94.5 crore in Q1 FY24.

• Basic and diluted EPS for the quarter stood at ₹0.81, compared to ₹0.43 in the prior year quarter.

Outlook and guidance

• Management targets a medium-term revenue CAGR of 15–20% and expects margins to trend towards the low 20s over the next 3-4 years as own production mix increases and operating leverage improves.

• Full capacity utilization of the new glass furnace is targeted by next year, with gradual ramp-up ongoing.

• Focus on expanding glass storage and opalware penetration, launching innovative products, and accelerating e-commerce growth.

• Plans to optimize capital employed via better inventory management and increased domestic sourcing.

• Business remains focused on consumer ware products, with no change in segment focus.